Global Innovation Management Market Thrives at a CAGR of 16.4%

Introduction

The word "innovation management" describes the process of a company's innovation, from idea generation to practical execution. Formulating options, using a creative approach, and processes and methods are all part of the operation. The technology aids in the creation of creative business models as well as new products, services, and skills. These innovative management efforts usually use a disruptive change technique to revolutionize businesses.

Due to innovation management, managers and executives or clients can interact with a precise grasp of processes and goals. The primary reason propelling the growth of the innovation management market is the changing working environment in businesses around the world. Furthermore, regulatory restrictions, rising urbanization and digitization, IoT use, and the desire to apply new technologies to ensure workplace sustainability benefit the innovation management industry.

Market Dynamics

Rising Need for Crowdsourcing Invention Ascends the Global Innovation Management Market

Open innovation is transferring ideas and knowledge among stakeholders like business associates, enterprise workers, the public in general, and consumers to improve products, solutions, and business operations for a better user experience and increased income. Crowdsourcing innovation is similar to open innovation. It starts with recommendations for product and service improvements and continues to open business model development. It forges a solid connection between all parties involved, including businesses, staff, and clients. Based on sharing ideas, enterprise management teams can forecast concepts that will increase sales and enhance the customer experience.

Improving brand consistency would also assist the business in maintaining its competitiveness in the market. Crowdsourcing ideas can either help companies increase operational effectiveness or allow them to investigate new business opportunities. Crowdsourcing is becoming increasingly popular among businesses as they realize the potential and intellect of their staff, partners, and clients. Companies compete for the first-mover benefit due to intense market competition, driving an increased desire for open innovation and crowdsourcing. As a consequence, the worldwide innovation management market is expected to grow.

Well-Informed Decisions of Enterprises Create Tremendous Opportunities for the Global Innovation Management Market

Within the last few years, every firm has undergone a digital transformation. The increasing development of advanced technologies has led to the generation of a massive volume of information, necessitating improved data retrieval and processing speed. Systems for managing innovation have grown almost in lockstep with technological improvement. Enterprises are making critical decisions based on the ideas generated from multiple innovation management solutions. Ideas were initially gathered through questionnaires, feedback boxes, or comments; however, with innovation management systems, businesses have discovered that fresh ideas increase productivity, improve profitability, and may be used to make better strategic decisions. The increasing requirement to examine relevant ideas from various sources has prompted the need to extract solutions from raw data to make vital judgments.

Regional Insights

North America emerged as the largest market for the global innovation management market. Regarding adopting innovation management systems across industries like healthcare, IT, aerospace, and manufacturing, North America has been a very open and competitive industry. It is the region that adopts innovation management strategies the fastest. It has been quite receptive to incorporating recent technology developments, like integrating mobile, cloud, and AI technologies with conventional innovation management tools.

Furthermore, the growing need to manage greater operational efficiency and business processes at a low cost is propelling R&D efforts in this region, resulting in a new potential for innovation management software. The rigorous government standards and regulations for various industries also contribute to market growth. The failure to comply may result in fines and other severe penalties. Another driving factor is the demand for improved operational efficiency that helps organizations archive legacy data and keep only recent and required data in the secondary storage.

Key Highlights

• The global innovation management market was valued at USD 1.5 billion in 2021. It is projected to reach an expected value of USD 6.2 billion by 2030, growing at a CAGR of 16.4% during the forecast period (2022–2030). 

• Based on type, the global innovation management market is segmented into Software and Services. The Services segment is expected to contribute considerably to the growth of the innovation management market during the forecast period.

• Based on function, the global innovation management market is segmented into Product Development and Business Processes. The Business Processes function is expected to contribute significantly to the innovation management market during the projected period.
• Based on deployment, the global innovation management market is segmented into Cloud and On-premise. The Cloud deployment mode is expected to grow swiftly during the projected period.
• Based on organization size, the global innovation management market is segmented into Large Enterprises and Small and Medium-Sized Enterprises. Large Enterprises are expected to contribute significantly to the growth of the innovation management market during the projected period.
• Based on vertical, the global innovation management market is segmented into BFSI, Healthcare, Education, Media & Entertainment, IT & Telecommunication, Retail, and Government. The Healthcare and Pharmaceutical industry is expected to hold the highest market share during the projected period.
• Region-wise, the Global Innovation Management Market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa. North America surpasses the rest of the world.

Competitive Players

1. Accenture
2. Sopheon
3. Qmarkets
4. Brightidea
5. Planbox
6. IdeaScale
7. Innosabi
8. Exago
9. KPMG
10. InnovationCast
11. Nosco
12. InnoCentive
13. Deloitte
14. BCG
15. Inno360
16. ICONICS
17. Induct
18. Yambla
19. LoopedIn
20. Miro

Recent Developments

• May 2024 - SAP SE (NYSE: SAP) and Amazon Web Services (AWS), a division of Amazon.com (NASDAQ: AMZN), announced an expanded, strategic partnership to transform contemporary cloud enterprise resource planning (ERP) experiences and assist businesses in leveraging generative artificial intelligence (AI) to drive new capabilities and efficiencies.
• June 2024 -The International Society for Professional Innovation Management (ISPIM) highlighted the importance of developing new mindsets for leading innovation and creating sustainable and circular ecosystems. They also emphasize the relevance of adhering to ISO Innovation Management Standards.

Segmentation

1. By Type
   1. Solution
   2. Services
2. By Function
   1. Product Development
   2. Business Processes
3. By Services
   1. Consulting
   2. System Integration
   3. Training, Support, and Maintenance
4. By Deployment Mode
   1. On-premises
   2. Cloud
5. By Organization Size
   1. Large Enterprises
   2. Small and Medium-Sized Enterprises (SMEs)
6. By Vertical
   1. BFSI
   2. Retail & E-commerce
   3. Transportation & Logistics
   4. Manufacturing
   5. Healthcare & Pharmaceuticals
   6. IT & Telecommunications
   7. Others (Manufacturing, Energy & Utilities, Media & Entertainment, and Education)